Citius Oncology Secures $9 Million to Propel Oncology Pipeline Forward with Strategic Offering

Citius Oncology, Inc. (OTCQX: CTXR) today announced a pivotal financial milestone, successfully closing a registered direct offering and a concurrent private placement that collectively generated approximately $9.0 million in gross proceeds. This significant capital infusion is set to bolster the company's strategic initiatives and accelerate its ambitious oncology pipeline development.

The offering encompassed the sale of 2,250,000 shares of Citius Oncology's common stock, with certain investors opting for pre-funded warrants in lieu of common stock.

Each share or pre-funded warrant was paired with an unregistered warrant to purchase an additional share of common stock, resulting in an aggregate of 2,250,000 such warrants issued. The combined price for each share (or pre-funded warrant) and accompanying warrant was set at a competitive $4.00.

These unregistered warrants, designed to provide long-term investor engagement, carry an exercise price of $4.00 per share.

They became immediately exercisable upon issuance and will remain active for a robust period of five years from their issuance date, offering a flexible opportunity for future investment in Citius Oncology's trajectory.

The net proceeds from this strategic financial maneuver are earmarked for critical areas within Citius Oncology.

The company plans to deploy these funds for general corporate purposes, ensuring robust operational stability, enhancing working capital, and crucially, intensifying its research and development efforts. This R&D focus is central to advancing its innovative oncology treatments and bringing much-needed therapies to patients.

H.C.

Wainwright & Co. played a crucial role in this successful transaction, acting as the exclusive placement agent for the offering. Their expertise and guidance were instrumental in navigating the complexities of the capital markets and ensuring the smooth execution of the offering.

The registered direct offering was conducted in accordance with a shelf registration statement on Form S-3 (File No.

333-277579), which was previously filed with the U.S. Securities and Exchange Commission (SEC) and declared effective on March 1, 2024. The unregistered warrants issued in the concurrent private placement were offered and sold pursuant to an exemption from the registration requirements of the Securities Act of 1933, as amended, under Section 4(a)(2) thereof.

It is important to note that this press release serves as an announcement of the completed transaction and does not constitute an an offer to sell or the solicitation of an offer to buy any of the securities mentioned herein.

Such offers were made only pursuant to the applicable registration statement or an exemption from registration.